Aqua America Upgraded To 'Buy' On Strong 1Q Profit

"Recently completed rate cases in North Carolina and Florida should help the Southern division get on track, and a strategically focused capital spending plan should continue to drive future growth," Coy said.

Coy also noted that in the past week shares of Aqua America have dropped 10 percent, compared to a decline for its peer group of only 4 percent to 5 percent. Since April the shares have shed 18 percent, dropping from around $20 to close yesterday at $16.38, which Coy called "an opportunistic entry point for investors."

Coy maintained her price target of $19.

Shares of Aqua America added 12 cents to $16.50 in morning trading.